RDS Advises Hua Yang Berhad On Its Rights Issue With Warrants

We, the Capital Markets and M&A department of Rosli Dahlan Saravana Partnership, are glad to have been given the opportunity to act as the legal advisers for Hua Yang Berhad’s Right Issue with Warrants which, as at the close of acceptance on 19 October 2022, have been over-subscribed by 35.34% over the total number of Rights Shares available for subscription under the Rights Issue with Warrants. Our Capital Markets Head & Partner, Ong Eu Jin, Diane Ngu and Rowena Ng were the key lawyers involved in the corporate exercise.





On 10 June 2022, the Board of Directors of Hua Yang Berhad (Hua Yang) proposed to undertake a renounceable rights issue of up to 88,000,000 new ordinary shares in Hua Yang on the basis of 1 Right Share for every 4 existing HYB Shares held, together with up to 88,000,000 free detachable warrants in Hua Yang on the basis of 1 Warrant for every 1 Right Share subscribed by the entitled shareholders (Rights Issue with Warrants).


The Extraordinary General Meeting to obtain shareholders’ approval for the Rights Issue with Warrants was held on 30 August 2022 and an ordinary resolution was passed by Hua Yang’s shareholders approving the Rights Issue with Warrants.


The issue price of the Rights Shares was fixed at RM 0.18 per Rights Share and the exercise price of the Warrants at RM 0.30 per Warrant. At the close of acceptance on 19 October 2022, the total acceptances and applications for the Rights Issue with Warrants were for 119,102,032 Rights Shares, which represents an over-subscription of 35.34% over the total number of Rights Shares available for subscription under the Rights Issue with Warrants.


The listing of and quotation of Hua Yang’s 88,000,000 Rights Shares and 88,000,000 Warrants issued pursuant to the Rights Issue with Warrants, as well as the admission of the 88,000,000 Warrants to the Official List of Bursa Malaysia Securities Berhad, took effect on 31 October 2022.


We are pleased to have been appointed as the legal advisers in relation to Hua Yang’s Right Issue with Warrants exercise. Our Capital Markets Head & Partner, Ong Eu Jin, together with associates, Diane Ngu and Rowena Ng were the key lawyers involved in the corporate exercise.


The RDS Capital Markets team is active in the Capital Markets and Mergers & Acquisitions (M&A) sector. Please contact our partner, Ong Eu Jin at eujin@rdslawpartners.com for enquiries.


More information on Hua Yang’s Rights Issue with Warrants can be found:


The Edge Markets

https://www.theedgemarkets.com/article/hua-yang-proposes1for4-rights-issue-warrants-raise-rm176- mil#:~:text=In%20a%20bourse%20filing%20on,subscribed%20fo r%20by%20entitled%20shareholders.




1 November 2022


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